“The European Commission is working hard to facilitate a solution to help Cyprus.

We recognise the progress now being made by the Cypriot government towards a solution which can pave the way for an agreement on a financial assistance programme for Cyprus. Intensive work and contacts will continue in the coming hours.

It is essential that an agreement is reached by the Eurogroup on Sunday evening in Brussels on a financial assistance programme for Cyprus. This agreement then needs to be swiftly implemented by Cyprus and its eurozone partners.

Unfortunately, the events of recent days have led to a situation where there are no longer any optimal solutions available. Today, there are only hard choices left. Support from Europe can help to minimise the economic damage and protect the most vulnerable from the effects of the financial crisis in Cyprus.

It is clear that the near future for Cyprus will be very difficult. But Cyprus and the Cypriot people are part of the European family. The European Union stands by them and will help to rebuild the Cypriot economy.”